Checking consolidation papers

The auditor pays particular attention to the calculation of:

1. Goodwill arising on acquisition and consolidation
2. Pre-acquisition and post-acquisition profits
3. Minority interest
4. Treatment of intercompany profits in stocks
5. Agreements of intercompany indebtedness
6. Necessary cancellations in respect of intercompany cash in transit
7. Turnover, excluding group trading
8. Necessary adjustments in respect of group companies with different accounting period end.
9. Taxation

The consolidated accounts must comply with all relevant accounting and legal requirements.